Deme Group Nv · EURONEXT:DEME
Deme Group Nv — FY2024 Earnings Presentation
50 slides from Deme Group Nv's earnings presentation, Feb 26, 2025
Slide 1: Full Year Results 2024
FULL YEAR RESULTS 2024 OUTSTANDING 2024: STRONG INCREASES IN TURNOVER AND PROFIT; POSITIVE NET CASH AND UNMATCHED ORDERBOOK 1Q25 DEME
Slide 2: Agenda
AGENDA 00 Executive summary 01 Group Financial Highlights 02 Segments Update 03 ESG & Safety 04 Dividend & Outlook 05 Q&A INVESTOR RELATIONS DEME 2
Slide 3: Executive Summary FY24
EXECUTIVE SUMMARY FY24 Outstanding year: Strong increases in turnover and profit - positive net cash and unmatched orderbook Strong free cash flow of 729 million euro vs 62 million Orderbook at an unmatched level of 8.2 billion euro euro a year ago, and leading to a net cash position of 91 million e
Slide 4: Group Financial Highlights
01 GROUP FINANCIAL HIGHLIGHTS INVESTOR RELATIONS DEME 4
Slide 5: FY24 – Key Financial Highlights (1/2)
FY24 – KEY FINANCIAL HIGHLIGHTS (1/2) Income statement (in millions of euro) 2024 2023 2022 Orderbook at unmatched level of 8.2 billion euro, +8% vs 2023 Orderbook 8,200 7,582 6,190 y-o-y growth +8% +22% +5% Turnover +25%, surpassing the 4 billion euro mark, Turnover 4,101 3,285 2,655 all segments c
Slide 6: FY24 – Key Financial Highlights (2/2)
FY24 – KEY FINANCIAL HIGHLIGHTS (2/2) Key balance sheet items (in millions of euro) FY24 FY23 FY22 CapEx 2024 declined y-o-y In line with the investment guidance for the year ; Operating including capitalized maintenance investments and new -813 -471 -506 working capital1 fleet additions in the Offs
Slide 7: FY24 – Group Orderbook
FY24 – GROUP ORDERBOOK Orderbook reached a new record level, even with the high conversions of backlog into revenue Orderbook Geographical breakdown Orderbook run-off 2,271 8,200 3% 28% 7,582 10% 2,290 12% 5,905 6,190 28% 7% 4,500 12% 4% FY24 3,639 38% 18% FY23 71% 58% 5% 44% Europe Africa America A
Slide 8: FY24 – Group Turnover
FY24 – GROUP TURNOVER Group turnover grew 25% with strong growth in all contracting segments Turnover Segment breakdown1 Geographical breakdown 4,101 4,101 5% 3,285 3,285 9% 2,511 2,655 2,511 2,655 18% 2,196 2,196 8% 3% 18% FY24 8% 60% FY23 8% 63% Europe Africa America FY20 FY21 FY22 FY23 FY24 FY20
Slide 9: FY24 – Group Profitability
FY24 – GROUP PROFITABILITY Surge in all profitability metrics EBITDA & EBITDA margin EBIT & EBIT margin Net profit & margin 900 25.0% 400 20.0% 350 20.0% 764 354 800 350 300 288 700 300 15.0% 15.0% 596 250 600 241 474 250 200 500 200 8.6% 10.0% 163 10.0% 400 18.6% 155 7.3% 150 18.2% 113 7.0% 300 17.
Slide 10: FY24 – CapEx
FY24 – CAPEX Continued investments in strengthening the fleet pay off Evolution of CapEx1 Net Result & Margin 484 441 435 399 282 286 202 2018 2019 2020 2021 2022 2023 2024 (in millions of euro) CapEx Highlights 2024 Major conversion of ‘Yelllowstone’, Increased capacity of ‘Viking Neptun’ with inst
Slide 11: FY24 – Segments
FY24 – SEGMENTS Complementary segments result in diversified sources of income OFFSHORE DREDGING & ENVIRONMENTAL CONCESSIONS ENERGY INFRA (in millions of euro) 2024 2023 2024 2023 2024 2023 (in millions of euro) Since start Turnover1 2,055 1,502 1,963 1,605 337 304 Value of projects at closing c. 7,
Slide 12: Segments Update
02 SEGMENTS UPDATE INVESTOR RELATIONS DEME 12
Slide 13: Offshore Energy
OFFSHORE ENERGY INVESTOR RELATIONS DEME 13
Slide 14: DEME Offshore Energy Supports the Energy Transition
DEME OFFSHORE ENERGY SUPPORTS THE ENERGY TRANSITION NON- ~85% of RENEWABLES ~15% of RENEWABLES Turnover & NUCLEAR turnover 2000 Start offshore wind activities +15k MW Capacity of installed wind turbines 2bn euro OFFSHORE WIND FARMS DECOMMISSIONING & HYDROCARBONS • 350 successfully executed projects
Slide 15: Broad Service Offering
BROAD SERVICE OFFERING Providing flexible solutions for the most demanding offshore wind projects ROCK FOUNDATIONS CABLES TURBINES PLACEMENT Global market leader Leading market player 20+ years of expertise as Commanding 1/3rd of the (technology, trackrecord, market leader global rock placement mark
Slide 16: One of the Most Technologically Advanced Fleet
ONE OF THE MOST TECHNOLOGICALLY ADVANCED FLEET Driven by continuous investments FOUNDATIONS CABLES ROCK PLACEMENT ORION GREEN JADE VIKING NEPTUN YELLOWSTONE • DP3 floating installation vessel • DP3 floating installation vessel • DP3 cable laying vessel • Fallpipe vessel • 5,000-ton lifting capacity
Slide 17: Offshore Energy Performance Dashboard 2024
Orderbook reached a record high driven by strong demand, recent expansion of fleet capacity, add- EBITDA grew 87% driven by strong turnover growth and disciplined and effective project OFFSHORE ENERGY ons to existing projects and addition of new contracts in the APAC region and Europe execution Perf
Slide 18: Offshore Energy Key Projects 2024
OFFSHORE ENERGY Key projects 2024 ORION A • DP3 floating installation vessel MORAY WEST (900 MW) 29 monopiles foundations • 5,000-ton lifting capacity A DOGGER BANK A, B & C (3.6 GW) GREEN JADE Inter-array cables & rock dumping • DP3 floating installation vessel A B • 4,000-ton lifting capacity B DI
Slide 19: Ile d'Yeu and Noirmoutier
ILE D’YEU AND NOIRMOUTIER INVESTOR RELATIONS DEME 19
Slide 20: Ile de Yeu et Noirmoutier
ILE DE YEU ET NOIRMOUTIER Major French offshore project France, Loire Atlantique Project characteristics Requires same innovative drilling technology Customer: EMYN (Ocean Winds, Sumitomo (MODIGA) as applied in Saint Nazaire, further corp and La Banque des Territoires and Vendée Energie) improved an
Slide 21: US Projects
US PROJECTS INVESTOR RELATIONS DEME 21
Slide 22: Expanding in the US
EXPANDING IN THE US Execution kicked off as of 2023 Overview East Coast DEME now involved in the We deliver projects following projects South Fork: cable works ; Done in 2023 Vineyard Wind 1 (800MW): Monopiles, TP’s, substation & turbines ; Ongoing, good progress in 2023 ; more work in 2024-2025 Coa
Slide 23: Hai Long
HAI LONG INVESTOR RELATIONS DEME 23
Slide 24: Hai Long
HAI LONG Building on our presence in Taiwan Building on our presence in Project characteristics Taiwan with solid track record Customer: Hai Long 2/3 Offshore Wind Power Co., Ltd. (NPI, Mitsui, Yushan Energy) 1GW wind farm, 73 turbines Scope includes seabed levelling T&I for foundations, offshore su
Slide 25: Dredging & Infra
DREDGING & INFRA INVESTOR RELATIONS DEME 25
Slide 26: Global Dredging Powerhouse
GLOBAL DREDGING POWERHOUSE Complemented by Infra activities in core markets DREDGING INFRA ACTIVITIES: ACTIVITIES: 2bn euro Capital and Land reclamation Turnover (2024) Inland waterway Port construction maintenance infrastructure dredging 358m euro Marine aggregates Coastal protection EBITDA (2024)
Slide 27: One of the More Advanced and Versatile Fleet in the World
ONE OF THE MORE ADVANCED AND VERSATILE FLEET IN THE WORLD Driven by continuous investments CUTTER DREDGER HOPPER DREDGER SPARTACUS AMBIORIX BONNY RIVER SCHELDT RIVER 3 • World’s largest CSD1 • Operates in heavy soil and rock • Dredges hard soils and in deep • KNVTS Ship of the Year 2018 • Dual fuel
Slide 28: Dredging & Infra Performance Dashboard FY24
Orderbook grew 3% y-o-y with a healthy intake EBITDA grew 20% driven by sustained high DREDGING & INFRA of new projects across various regions activity levels and disciplined project execution Performance Dashboard FY24 Turnover grew 22% y-o-y, approaching two Vessel occupancy increased across the f
Slide 29: Dredging & Infra Key Projects 2024
DREDGING & INFRA Key projects 2024 A B OOSTERWEEL NEW LOCK Completion of Antwerp ring TERNEUZEN road, including construction of Wet and dry earthmoving D immersed tunnel in the Scheldt works and dredging for the B C river new lock complex A E C D H KIEL CANAL I LONDON Widening of the Kiel Canal GATE
Slide 30: Oosterweel
OOSTERWEEL INVESTOR RELATIONS DEME 30
Slide 31: The Oosterweel Connection
THE OOSTERWEEL CONNECTION ‘ Scheldt Tunnel & Construction Dock’ • Extra capacity to cross the river Scheldt • 1.8 km long • 8 tunnel elements constructed in Zeebrugge • Dimensions of a tunnel element: L ≈ 160m B ≈ 41,3m H ≈ 9,9m • Two road tubes, each with3 lanes; a service & evacuation tube and a 6
Slide 32: Scheldt Tunnel & Construction Dock
‘ SCHELDT TUNNEL & CONSTRUCTION DOCK’ Construction sites Construction Dock Zeebrugge Scheldt Tunnel Antwerp INVESTOR RELATIONS DEME 32
Slide 33: Environmental
ENVIRONMENTAL INVESTOR RELATIONS DEME 33
Slide 34: Leading Environmental Specialist in Benelux
LEADING ENVIRONMENTAL SPECIALIST IN BENELUX Offering wide range of services SOIL REMEDIATION & ENVIRONMENTAL HIGH WATER BROWNFIELD DREDGING & SEDIMENT PROTECTION DEVELOPMENT TREATMENT • Offering tailored solutions for high water • Cleaning and recycling of polluted soils • Fluvial dredging with mini
Slide 35: Environmental Performance Dashboard FY24
Orderbook remains stable with additional EBITDA margin of 13% (2023 margin projects in the Benelux; exploring opportunities included a non-recurring settlement) ENVIRONMENTAL in Italy and the UK Performance Dashboard FY24 Turnover grew 11% to 337 million euro fueled by Launching ‘Cargen’, an innovat
Slide 36: Environmental Key Projects 2024
ENVIRONMENTAL Key projects 2024 Soil remediation and brownfield development A A OOSTERWEEL SERAING B Treating PFAS polluted soils Large reconversion project of a former Arcelor Mittal site, near Liège C A B A FORMER OIL FELUY TERMINAL Remediation of former industrial Turning former oil-polluted oil
Slide 37: Concessions
CONCESSIONS INVESTOR RELATIONS DEME 37
Slide 38: Infrastructure Developer, Investor and Manager
INFRASTRUCTURE DEVELOPER, INVESTOR AND MANAGER Leveraging unique combination of technical and financial capabilities At a glance Active in 4 sectors Early involvement in the development process Strong additionality with contracting side of DEME H2 OFFSHORE WIND INFRA & DREDGING GREEN HYDROGEN DEEP-S
Slide 39: Concessions
CONCESSIONS Net result Dredging & Infra Green Hydrogen Involved in marine infrastructure Advancing hydrogen development (in millions of euro) 2024 2023 2022 projects (Blankenburg, Port-La Nouvelle, initiatives to be among the first in the Port of Duqm) world to produce green molecules from Net resul
Slide 40: ESG & Safety
03 ESG & SAFETY INVESTOR RELATIONS DEME 40
Slide 41: ESG (1/2)
ESG (1/2) Update on progress Environmental (in %) 2024 2023 2022 42% of DEME’s turnover is EU taxonomy aligned, up from 33%, driven by strong growth in 2024 offshore wind projects and the inclusion of DEME’s EU Taxonomy - Turnover environmental activities, such as remediation of contaminated sites a
Slide 42: ESG (2/2)
ESG (2/2) Highlighting some ESG initiatives in 2024 MOVING TO ZERO-EMISSION TESTING OF HYDROGEN GENERATOR ELECTRIFICATION OF OUR CAR FLEET EQUIPMENT TOWARDS A CLIMATE-NEUTRAL COLLABORATION WITH CYCLING FOR KOM OP TEGEN KANKER DEME CAMPUS MERCY SHIPS INVESTOR RELATIONS DEME 42
Slide 43: Dividend & Outlook
04 DIVIDEND & OUTLOOK INVESTOR RELATIONS DEME 43
Slide 44: Dividend
DIVIDEND An 81% increase in gross dividend In line with DEME’s dividend policy, targeted to a pay-out ratio of 33% of the group’s net profit, the Board of Directors will propose to the General Assembly a gross dividend of 3.8 euro per share, marking an 81% increase compared to last year. Subject to
Slide 45: Outlook
OUTLOOK Considering the current project schedules in the backlog, the pipeline of new opportunities and fleet capacity, DEME’s management expects for 2025 Turnover and EBITDA margin to be at least in line with 2024 CAPEX to be around 300 million euro before larger fleet capacity expansion investment
Slide 46: Q&A
Q&A INVESTOR RELATIONS DEME 46
Slide 47: Q&A
Q&A INVESTOR RELATIONS DEME 47
Slide 48: Agenda Financial Calendar
AGENDA FINANCIAL CALENDAR 26/02/2025 Full year 2024 results 24/03/2025 Publication annual report Trading update 14/05/2025 Q1 2025 21/05/2025 General assembly 26/08/2025 Half year 2025 results Trading update 13/11/2025 Q3 2025 INVESTOR RELATIONS DEME 48
Slide 49: Thank You
THANK YOU For more information vanden.bussche.carl@deme-group.com INVESTOR RELATIONS DEME 49
Slide 50: Disclaimer
DISCLAIMER DISCLAIMER The Information and any opinions contained therein are provided as at the date of the presentation and are subject to change without notice. In giving this presentation, DEME does not undertake any obligation to provide the recipient with access to any additional information or